The current and former managers of United and its employee unions should be brought up on felony fraud and theft charges for this, as far as I'm concerned.
Government takes over United pension
Says airline funded only 30% of plan; will give $2.1B to 36,000 active and retired ground workers.
March 11, 2005: 12:50 PM EST
WASHINGTON, March 11 (Reuters) - The U.S. agency that backs corporate pensions said Friday it was taking over United Airlines' pension plan for ground employees, saying the plan operated by the bankrupt airline was only 30 percent funded.
The Pension Benefit Guaranty Corp. said it would guarantee payment of an estimated $2.1 billion in benefits out of the plan's $2.9 billion shortfall. The plan has more than 36,000 active and retired employees, the agency said.
The machinists union representing the ground workers criticized the move, saying many employees would lose some benefits.
"United's deliberate course of action and absence of concern for its employees is directly responsible for the pension crisis we are facing today," a union spokesman said in a statement.
UAL Corp. is the parent company of United Airlines.
Says airline funded only 30% of plan; will give $2.1B to 36,000 active and retired ground workers.
March 11, 2005: 12:50 PM EST
WASHINGTON, March 11 (Reuters) - The U.S. agency that backs corporate pensions said Friday it was taking over United Airlines' pension plan for ground employees, saying the plan operated by the bankrupt airline was only 30 percent funded.
The Pension Benefit Guaranty Corp. said it would guarantee payment of an estimated $2.1 billion in benefits out of the plan's $2.9 billion shortfall. The plan has more than 36,000 active and retired employees, the agency said.
The machinists union representing the ground workers criticized the move, saying many employees would lose some benefits.
"United's deliberate course of action and absence of concern for its employees is directly responsible for the pension crisis we are facing today," a union spokesman said in a statement.
UAL Corp. is the parent company of United Airlines.
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